1. In the absence of Chairperson Jones, Commissioner Gene Lemon became the Acting Chairperson for this meeting. The meeting was called to order at approximately 9:35 a.m.
    
   
2. Approval of the January 8, 2002 minutes:

   Commissioner Detrick moved to approve the January 8, 2002 minutes as presented, seconded by Commissioner McKay, the January 8, 2002 minutes were approved. Motion carried.

   Announcement(s):

   • Ermila Jolley of Yuma, Arizona has been selected by the Governor's Office to replace Commissioner Carl Lopez of Tucson, Arizona.
   • Mr. Brian Finell, has resigned his position as Campaign Finance Supervisor with the Secretary of State's Elections Office. The position has been filled by Ms. Nancy Read.

3. Executive Director's Report:

   Executive Director Colleen Connor gave the Executive Director's Report on the following subjects:

   • Voter Education:
      
     Media Tour and Tax Preparer Initiative
     Continuing Work of CPR and L3
     The Candidate Statement Procedure
     The Debate Procedure
     The Five-Dollar-Bill Website Training Videos
      
     
   • Budget and Office Operations:
      
     Limited Position for a Campaign Finance Analyst
     2002 Strategic Planning
     The Fund Disbursement Procedure
     Participating and Nonparticipating Candidate Training Seminars for 2002
      
     
   • Legislative Matters and Rules:
      
     Extension of Surplus Funds
     SB 1051, Voter Education Mailing
     HB 2175, Prohibiting Lobbyists from Giving $5 Qualifying Contributions
      
     
   • Legal Matters:
      
     Ruling to uphold the 10% surcharge in Lavis v. Bayles
      
     
   • Note of Importance:
      
     For the one-party-dominant districts, the voter registration information for the new districts will not be available until the end of March. Therefore, a preliminary determination will be made and presented at the March 19, 2002 Commission meeting.

4. Consideration and Approval of the 2001 Annual Report.

   Commissioner Lopez moved to approve the 2001 Annual Report as presented, seconded by Commissioner Dietrick. Motion carried.

5. Appreciation to Commissioner Carl Lopez for His Service as a Commissioner.

   Commissioner Lemon, on behalf of the State of Arizona and the Commission, thanked Commissioner Lopez for his dedicated service and also presented him with a plaque.

6. Consideration and Approval of the Following Procedures:
    
   
   1. General Fund Disbursement Procedure with Specific Consideration to the Application to Quality for Funding Procedure:

      Recommendation for a written fund disbursement procedure was made to the Commission in the Auditor General's Report. Executive Director Connor explained to the Commissioners the background, the steps that will be taken and the reasoning for the procedure. Executive Director Connor distributed a hand-delivered letter opposing the Commission's decision to permit only one application for funding. The letter was signed by the following: Honorable Carol Springer, Honorable Randall Gnant, Alfredo Gutierrez, Honorable Chris Cummiskey and Richard Mahoney and is on file with the Commission. Executive Director Connor also addressed the issue of the Commission housing voter registration data at the office or via the Internet.

      The Commission first addressed Part 5 of the Procedure and requested that the last sentence of the Fund Projection state the following, with reference to an Emergency declared by the Commission: In lieu of or in addition to raising private contributions; participating candidates " may not" use surplus campaign funds from a prior campaign account to bring the total monies received by the candidate to the adjusted spending limit.

      Chair Jones moved to approve the Clean Elections Fund Disbursement Procedures with the words "may not" added to the last sentence of the Fund Projection, seconded by Commissioner Lopez. Motion carried.

      Next, the Commission agreed to remove the Cost for Verifying the Qualifying Contribution forms from the procedure.

      Commissioner Detrick moved to accept the Fund Disbursement Procedure as amended, seconded by Commissioner Lopez. Motion carried.

   2. Candidate Statement Intake and Pamphlet Distribution Procedure.

      Jill Collins, Public Relations and Voter Education Manager, gave an overview of this procedure to the Commissioners.

      Chair Jones moved to accept the Candidate Statement Intake and Pamphlet Distribution Procedure with the following information being conveyed to the candidates "If the Candidate does not submit a Verification Statement, the Candidate's statement will not be printed", seconded by Commissioner McKay. Motion carried

7. Discussion and Consideration of Office Space, 1616 West Adams.

   Deputy Director Matt Shaffer showed the Commissioners the architectural blueprint for the new office space. He also gave a brief overview of the building and pointed out potential office and conference room placement. The projected move is scheduled for March, 2003.

8. Discussion and Consideration of Proposed Legislative Changes.

   Executive Director Connor reviewed the Proposed Legislative Changes with the Commissioners. The six proposed changes are as follows:

   1. Reduce Reporting Requirements and Matching Funds Based on Expenditures
   2. Change the Date of the Qualifying Period
   3. Enforcement Authority
   4. Use of Funds
   5. Voter Education Mailing
   6. Application of Funding

   Executive Director Connor does not recommend pursuing proposals 1 and 2 . The Secretary of State's software is already completed and this change would not be effective for the 2002 Election.

   Legislative efforts for the year will be focused towards the Voter Education Mailing and the Application of Funding issues.

9. Update and discussion of Public Relations and Advertising Campaign.

   Robert Johnson, CPR and Joe Jacober, L3 gave the Commissioner an update on the public relations campaign to educate voters.

10. Discussion of A.A.C R2-20-104 (C) & (G) regarding Surplus Funds and Constituent Services.

    Executive Director Connor gave an overview of the amended Rule A.A.C. R2-20-104 (C) and (G).

    Chair Jones moved to adopt Rule A.A.C. R2-20-104 (C) and (G) as amended and distribute for Public Comment, seconded by Commission McKay. Motion carried.

11. Discussion of Qualifying Contributions Form by Candidate Bayless for No Action Letter.

    Executive Director Connor recommends that the Commission not take any action until the Commission has an opportunity to discuss the modified forms with the County Recorders' Offices.

    This issue will be discussed further in an upcoming Commission Meeting.

12. Legal Report (Oral Report from Assistant Attorney General Todd Lang).

    Assistant Attorney General Todd Lang did not have anything new to report at this meeting.

13. Public Comment:

    Cecilia Martinez, Executive Director, Clean Elections Institute

    Cecilia Martinez wanted to thank the Commission and staff for including the Clean Elections Institute in the Legislative changes. She informed the Commission that a new bill was introduced by Representative Sedillo, HB 2365 which extends the Clean Election Law to certain judicial races. Speaking on behalf of the Clean Elections Institute she thanked Commission Lopez for his service to Clean Elections and the State of Arizona.

14. Agenda Items for the Next Meeting.
     
    
15. The next meeting:

    Tuesday, February 19, 2002 at 9:30 a.m., Citizens Clean Elections Commission, 4001 N. 3rd Street, Suite 200, Phoenix, Arizona 85012.

    Commissioner Lemon moved that this meeting be adjourned, seconded by all Commissioners. Motion carried.

16. Adjournment

Dated this 31^st day of January, 2002

Citizens Clean Elections Commission